The world will be forever indebted to Ethereum for introducing smart contracts. Well, the concept of smart contracts was initially introduced in the 1990s yet it was Ethereum blockchain that was the first to bring the cutting-edge smart contracts that we use today. Now, what is a smart contract? These are state-of-the-art software codes that are programmed based on condition programming. Smart contracts can automatically verify and execute a pre-set form of task or transaction once certain specified transactions have been made. Read more about blockchain smart contracts at Multibank.io.
We can explain what a smart contract is with a small example here.
Hospitals can store patient receipts on the blockchain. Smart contracts then can be used to automatically transfer the needed receipts with insurance firms as evidence for reimbursement. In this case, the smart contracts will be programmed to send stored receipts directly to insurance companies for timely collection of payment, once the patient gets discharged from hospital.
Steps to implement smart contracts
The pioneer of smart contracts, Ethereum is the most popular hub for smart contracts. As of 2022, the blockchain is bustling with nearly 2 million smart contracts. The Ether blockchain uses Solidity for creation of smart contracts. Here is a brief guide when you are asking what is a smart contract deployment.
Step 1
Install Ethereum browser + wallet
The first step when you are asking what is a smart contract deployment, is to install a leading Ethereum browser that can also double up as a wallet. You can go to MetaMask here. The beauty of MetaMask is that the browser-cum-wallet enables users to easily interact with dApps and smart contracts virtually yet without the hassle of downloading the entire blockchain. You will get Chrome Extension for the browser online. So, just install it.
Step 2
Create wallet
Once you have installed the browser, you will have to create your Ether wallet.
Go to the upper right part of the browser page. Then, click on it to create a fresh tab. Further, go to “Create Wallet” and click on it. Check the conditions and terms given. Click on the checkbox next to “I Agree”.
In the next step, you will be asked to set a password for your wallet. Please use a hard-to-decipher and extremely strong password. After the password has been created, you will get a confidential backup phrase. Be careful about this phrase as any mismanagement might cost you your Ethers.
Step 3
Go to Ethereum Network
Find the tab stated “Main Ethereum Network”. Check the checkbox next to it. Has it got a checkmark? If so, proceed to the next step.
Step 4
Choose your preferred test network
Before you send the smart contracts to the Ethereum mainnet, you will have to test them on a test network. There are various test networks to choose from, such as Rinkeby, Kovan, Robsten, and so on.
Step 5
Add in dummy Ethers
You will need Ethers to deploy smart contracts. Since, we are talking about deploying them on a test network initially, you will have to use dummy Ethers. So, in this step, we will add Dummy Ethers right into the MetaMask wallet.
Look for the tab that says “Deposit”. Click on it and go to “Test Faucet”. Select it. Now look for “Get Ether”. Click on it.
Next, look for the tab that says “Request 1 Ether from faucet”. Click on it and once you approve, your wallet will credit with 1 Ether. You can of course increase the quantity of Ethers based on your need.
Step 6
Write smart contracts
We have reached one of the crucial stages when you are asking what smart contract deployment is.
After you add the Ethers (dummy), you can proceed to write the smart contracts in Solidity on an open source smart contract writing app.
The app you choose for writing the contracts should have the ability to operate with Web3 objects, come with an in-built debugger, and must allow direct deployment to your chosen browser extension. Your chosen app must also provide you warnings on major aspects, such as unsafe code, gas prices, problems in variable names, and so on.
Step 7
Build .sol extension
Now, you will have to develop a “.sol extension file”. Go to the chosen app for writing the contracts. Look at the upper left side for a “+” icon. Click on it to create the file. It will help to create a sample code for smart contracts to build ERC20 tokens.
Then, you will have to choose a compiler version from your app browser to compile the Solidity Ethereum contract code.
Step 8
Deploy the contract
Look for the “Deploy” tab and click on it.
You will have to wait for the completion of the transaction. Moreover, once it is done, you will find the address of the contract on the browser app. Next, go to your wallet to see whether you have received ERC20 tokens.
Click on the tab that says “Add tokens”. Type in the address of the contracts, and then click on “Ok.”
Step 9
Testing the contracts
In fact, you can get a test run for all the methods of your smart contracts, such as total supply, transfer, balance, etc. So, you can also check token transfer capability by transferring a few tokens to multiple Ether wallets. Check the total supply as well.
Step 10
Deploying on Ethereum network
- Go to Ethereum network
- Add in real ETH
- Deploy the contract the way it is given in Step 8
- After deployment, make sure to verify the contract from Etherscan
Finding Cost of deploying smart contracts
We will wind up the discussion on the possible cost estimate of smart contract deployment on Ethereum-
- Go to your contract’s Etherscan page
- Check the first transaction
- Find a tab saying “Txn Hash”
- Click on it
- Find a tab called “Click to See More”
- Click on it
- You will find the Gas value used for transaction
- Find the gas cost of contract deployment with this equation: gas consumption amount multiplied by gas price
The gas price will fluctuate depending on the level of congestion on the Ether network. Once you get the amount and if you think it’s too high, you can keep the deployment on hold for a while for a less congested period.
